Overview:

In our last analysis, EUR/NZD has been trading downwards. As we expected, the price was tested from the level of 1.5800. According to the 4H time frame, we can observe strong supply on the market in an ultra high volume (selling climax), which is a sign that buying EUR/NZD looks risky. Our Fibonacci expansion 100% at the price of 1.5800 is on the test, so be careful when selling at this stage. If the price breaks the level of 1.5800 in a high volume, we may see possible testing the level of 1.5520 (Fibonacci expansion 161.8%), Anyway, if we see larger reaction from buyers around the level of 1.5800, a bullish corrective phase will be possible.

Daily Fibonacci pivot levels:

Resistance levels:

R1: 1.6052

R2: 1.6088

R3: 1.6146

Support levels:

S1: 1.5937

S2: 1.5907

S3: 1.5844

Trading recommendations: Be careful when selling EUR/NZD since our Fibonacci expansion 100% is on the test